Last week saw a ridiculous over-reaction to the news that annual consumer price rises had gone from 3.9 to 4 per cent. That something else was a wider reassessment of the pace at which interest rates are likely to decline globally. Maybe the uptick in inflation in Europe and the US over the past couple of months had made them re-think. But imagine what might happen here in the UK if inflation is back to 2 per cent in April. But if you look at the trend over the past three months, the annualised headline rate is already below 2 per cent.

Source: Daily Mail January 21, 2024 18:02 UTC